An application of EDA and GA to dynamic pricing.

Shakya, Siddhartha; Oliveira, Fernando; Owusu, Gilbert

Abstract

E-commerce has transformed the way firms develop their pricing strategies, producing shift away from fixed pricing to dynamic pricing. In this paper, we use two different Estimation of distribution algorithms (EDAs), a Genetic Algorithm (GA) and a Simulated Annealing (SA) algorithm for solving two different dynamic pricing models. Promising results were obtained for an EDA confirming its suitability for resource management in the proposed model. Our analysis gives interesting insights into the application of population based optimization techniques for dynamic pricing.

Citation

SHAKYA, S., OLIVEIRA, F. and OWUSU, G. 2007. An application of EDA and GA to dynamic pricing. In Proceedings of the 9th Annual conference on genetic and evolutionary computation (GECCO '07), 7-11 July 2007, London, UK. New York: ACM [online], pages 585-592. Available from: https://doi.org/10.1145/1276958.1277078

• Conference Name: 9th Annual conference on genetic and evolutionary computation (GECCO '07)
• Conference Location: London, UK
• Start Date: Jul 7, 2007
• End Date: Jul 11, 2007
• Acceptance Date: Jul 7, 2007
• Online Publication Date: Jul 7, 2007
• Publication Date: Dec 31, 2007
• Deposit Date: Oct 21, 2023
• Publicly Available Date: Dec 13, 2023
• Publisher: Association for Computing Machinery (ACM)
• Pages: 585-592
• ISBN: 9781595936974
• DOI: https://doi.org/10.1145/1276958.1277078
• Keywords: e-Commerce; Dynamic pricing; Financial modelling; Financial simulation
• Public URL: https://rgu-repository.worktribe.com/output/2114834